Kitchen and Bathroom Renovations: Are They Worth the Investment?

The kitchen and the bathrooms are probably the areas where a house mostly shows its age. As our relations with food and hygiene are constantly evolving, our relationship with these two areas is always being assessed, both from a design and a functionality perspective. The kitchen and the bathroom are also the places that receive the most traffic in a home, so their age is shown by their style and the wear and tear of years of constant use. 

It's natural to think that, by updating these areas, we'll be able to command a higher price for our home. Is this assumption true? Let's find out.

Kitchen renovations

Kitchen remodels can vary greatly in terms of cost and the value they bring to a home. While a well-planned and executed kitchen remodel can add significant value to a home, it's important to keep in mind that not all kitchen remodels will necessarily bring a positive return on investment.

For example, a minor kitchen remodel that focuses on cosmetic updates such as new countertops, cabinet doors, and hardware can be a cost-effective way to refresh the look of a kitchen and potentially offer a good return on investment.

On the other hand, a major kitchen remodel that involves structural changes such as moving walls or installing high-end appliances can be much more expensive and may not offer as high of a return on investment.

On average, minor kitchen renovation costs recouped are around 70% for each dollar invested, while major renovations cost recouped can be as little as 50% for each dollar invested.

Bathroom renovations

Similar to kitchen renovations, bathroom renovations can vary in cost and the value they bring to a home. 

A minor bathroom renovation that focuses on cosmetic updates such as replacing fixtures, updating lighting, and refreshing the paint or wallpaper can be a cost-effective way to give a bathroom a fresh look and potentially offer a good return on investment.

A major bathroom renovation that involves structural changes like moving walls, replacing plumbing, or expanding the size of the bathroom can be much more expensive and return less for the investment.

On average, minor bathroom renovation costs recouped are just shy of 60% for each dollar invested, while upscale renovation costs recouped are around 50% for each dollar invested.

Are Kitchen and Bathroom Renovations Worth the Investment?

If you are considering doing a renovation before selling, the first thing you need to look is at the market value range of your house and how much of that value the renovation represents. 

With that figure in hand, you need to assess if the current state of your kitchen or bathroom could be used as a bargaining chip by a potential buyer, and how much it could represent in dollars. If the value of the renovation is less than its potential impact on the sale price of the house, investing in the renovation would make sense. 

In any case, you should think of renovations as a way to preserve value.

Sell to Simply

Dollar per dollar, most renovations -not just kitchen and bathroom - seldom recoup their cost, even less the higher the price tag. If you can't afford it and/or don't want to take any chances, you can always sell your home as-is to a cash buyer like Simply Homes. 

At Simply Homes, we buy houses as-is. No renovations, no listings, no stress. We use state-of-the-art technology to offer you the fairest prices for your home in seconds. Just visit Simply Homes' website and enter your address to find out if we are interested in your property. 

Skip the reno. Sell to Simply